Republicans Propose Not Paying for Payroll Tax Cut

Congressional Republicans on Monday proposed extending a tax cut for 160 million workers through the rest of the year without offsetting the cost with spending cuts elsewhere in the budget.

As first reported by Reuters, Republican leaders in the House issued a statement saying they have decided to move forward with a plan to simply extend the payroll tax cut without offsetting spending reductions.

Negotiations would continue on separate proposals to extend jobless benefits for the long-term unemployed and to avert a 27 percent pay cut for doctors treating elderly Medicare patients, the statement said.